Supply Chain KPI Examples | Rate of Return

Rate of Return

Measure the rate at which shipped items are returned to you.

KPIs & Metrics 101

Everything you need to know about KPIs to start your data driven journey

KPIs & Metrics 201

Real life business examples of KPIs and how to establish key business metrics

Formula

(Total Items Returned) / (Total Items Shipped)

Services

Shopify Dashboard | Shopify logo WooCommerce Dashboard | WooCommerce logo

Role

Analyst, VP / Director

Overview

The Rate of Return KPI measures the rate at which shipped items are returned to you. The key to this metric is providing a breakdown for the reasons why items are returned so you can identify trends and reduce your rate of return ratio by addressing issues at their source. Consider coupling this KPI with perfect order rate KPI.

Monitoring Supply Chain KPIs on a Dashboard

Once you have established benchmarks and targets for Rate of Return, you’ll want to establish processes for monitoring this and other supply chain KPIs. Dashboards can be critical in this regard. Read more